Calpine Will Meet California Officials
On Request to Modify Power Contracts

By

Rebecca Smith Staff Reporter of The Wall Street Journal

Updated Dec. 12, 2001 12:01 a.m. ET

Calpine Corp. said senior managers will meet with California energy officials later this week to discuss the state's request to amend the terms of three big power-supply contracts that were signed early this year at the height of the state's energy crisis.

Only a few months ago, California Gov. Gray Davis was praising the company, based in San Jose, Calif., for being the first to commit to supply the state with power at fixed prices for 10- to 20-year terms. At the time, the state was struggling with record energy prices...